The dual economy development models hold minimum wages (among other institutions) accountable for persistent dualism. We use 12 years of micro data on thousands workers in Costa Rica to test whether legal minimum wages have a differential impact on wages in the formal sector vs. informal sector,...

This paper investigates the effects of legal minimum wages on wages, employment, hours worked and monthly earnings among workers covered by minimum wage legislation as well as those for whom it does not apply (the uncovered sector) in Costa Rica. This country?s large uncovered sector and complex...

This paper contributes to our understanding of the impact of institutions on incomes of workers in developing countries by rigorously addressing the question as to whether changes in minimum wages can change the inequality of the distribution of earnings. More specifically, we analyze whether...

More than half of those who emigrate from developing countries move to other developing countries, yet there have been few studies of the impact of this South-South migration. In this paper, we examine the impact of migration from one developing country, Nicaragua, on the labor market in another...

Despite increasing average real family incomes in Costa Rica in the late 1990s and early 2000s, poverty rates did not fall. In this paper, we argue that during this period economic growth in Costa Rica did not translate into reduced poverty because of changes in family structure and in the labor...

In this paper, I discuss the reasons for Costa Rica's economic performance over the last quarter of a century. Three complementary sets of policies (investments in human capital, careful stabilization, and an intelligent and aggressive integration into the world economy) explain the successful...

The Costa Rican talk of crime is fundamentally based on the assumption that crime rates have increased significantly in recent years and that there is today a vast and alarming amount of crime. On the basis of this assumption, fear of crime, the call for the 'iron fist', and drastic law...

Crime, violence, and insecurity are among the most important social topics in contemporary Costa Rica. These three issues play a central role in the media, politics, and everyday life, and the impression has emerged that security has changed for the worse and that society is now threatened...

Crime, violence, and insecurity are perceived as society's biggest problems in contemporary Costa Rica. This degree of priority is especially remarkable because the country has always been considered the peaceful exception in the violent Central American region. In this paper I analyze four...

The Costa Rican talk of crime is fundamentally based on the assumption that a formerly explicitly nonviolent nation has been transformed into a battleground for social violence - that is, on the belief that an alarming 'crime wave' is occurring today while there was no crime at all in the past....